21st Century Fox withdraws bid for Time Warner

(USA TODAY)-- 21st Century Fox said Tuesday it withdrew its bid to buy competitor Time Warner, a deal media mogul Rupert Murdoch pitched last month to boost revenue and bargaining leverage against cable companies.

The bid had been emphatically rejected by Time Warner, which argued that it was better off being alone.

"We viewed a combination with Time Warner as a unique opportunity to bring together two great companies," said Murdoch, who is also the CEO of 21st Century. "Our proposal had significant strategic merit and compelling financial rationale and our approach had always been friendly. However, Time Warner management and its board refused to engage with us to explore an offer which was highly compelling."

"The reaction in our share price since our proposal was made undervalues our stock and makes the transaction unattractive to Fox shareholders. These factors, coupled with our commitment to be both disciplined in our approach to the combination and focused on delivering value for the Fox shareholders, has led us to withdraw our offer," he said.